TORONTO, Ontario (Business Wire) -- Capstone Infrastructure Corporation (“Capstone”) (TSX: CSE;
CSE.PR.A; CSE.DB.A) and Renewable Energy Developers Inc. (“ReD”)
(TSX: RDZ) are pleased to advise that the previously announced plan of
arrangement pursuant to which, among other things, Capstone will acquire
all of the issued and outstanding common shares of ReD (the “Arrangement”)
is expected to close on October 1, 2013.

In light of such expectation, ReD will increase its regular quarterly
dividend for the third quarter of 2013 to $0.0195 per common share to
correspond to what ReD shareholders would have received from the merged
company if the Arrangement closed on September 30, 2013. The dividend
will be paid on October 31, 2013 to ReD's shareholders of record at the
close of trading on September 30, 2013. The dividends paid by ReD
on its common shares are designated "eligible" dividends for purposes of
the Income Tax Act (Canada). An enhanced dividend tax credit
applies to eligible dividends paid to Canadian residents.

A consent agreement giving effect to the foregoing has been entered into
by Capstone and ReD and will be filed under each of Capstone's and ReD's
profiles at www.SEDAR.com.

Capstone Infrastructure Corporation

Capstone's mission is to build and responsibly manage a high quality
portfolio of infrastructure businesses in Canada and internationally in
order to deliver a superior total return to shareholders by providing
reliable income and capital appreciation. Capstone's portfolio currently
includes investments in gas cogeneration, wind, hydro, biomass and solar
power generating facilities, representing approximately 370 MW of
installed capacity, a 33.3% interest in a district heating business in
Sweden, and a 50% interest in a regulated water utility in the United
Kingdom. For more information, please visit www.capstoneinfrastructure.com.

Renewable Energy Developers Inc.

ReD is dedicated to the development, ownership and operation of
renewable energy projects. Through project development efforts,
acquisitions, partnerships and joint ventures, ReD provides its
shareholders with income and growth from the renewable power generation
sector of the energy industry. For more information, please visit www.red-inc.ca.

Notice to Readers

Certain information presented in this news release contains
“forward-looking information” within the meaning of Canadian securities
legislation and “forward-looking statements” within the meaning of the
United States Private Securities Litigation Reform Act of 1995
(collectively, “forward-looking statements”). These
forward-looking statements are made as of the date of this news release.
Forward-looking statements are provided for the purpose of presenting
information about Capstone's and ReD's management's current expectations
and plans relating to the future and readers are cautioned that such
statements may not be appropriate for other purposes. These statements
use forward-looking words, such as “anticipate”, “continue”, “could”,
“expect”, “may”, “will”, “estimate”, “plan”, “believe” or other similar
words, and include, among other things, statements concerning the timing
and implementation of the Arrangement. These statements are subject to
known and unknown risks and uncertainties that may cause actual results
or events to differ materially from those expressed or implied by such
statements and, accordingly, should not be read as guarantees of future
performance or results. The forward-looking statements within this
document are based on information currently available and what Capstone
and ReD currently believe are reasonable assumptions, including the
material assumptions set out in Capstone's and ReD's most recent interim
and annual financial statements and management's discussion and analysis
of the results of operations and the financial condition of Capstone and
ReD filed on www.sedar.com.

Although Capstone and ReD believe that they have a reasonable basis for
the expectations reflected in these forward-looking statements, actual
results may differ from those suggested by the forward-looking
statements for various reasons, including the conditions of the
Arrangement not being satisfied. Additional information regarding such
risks and uncertainties is provided under the heading “Risk Factors” in
the management information circular of Capstone dated August 2, 2013 and
under the heading “The Arrangement – Risks Associated with the
Arrangement” in the management information circular of ReD dated August
1, 2013 filed on www.sedar.com.

The assumptions, risks and uncertainties described above are not
exhaustive and other events and risk factors could cause actual results
to differ materially from the results and events discussed in the
forward-looking statements. The forward-looking statements within this
news release reflect current expectations of Capstone and ReD as at the
date of this document and speak only as at the date of this document.
Except as may be required by applicable law, Capstone and ReD do not
undertake any obligation to publicly update or revise any
forward-looking statements.

The securities described herein have not been, and will not be,
registered under the U.S. Securities Act of 1933, as amended (the “U.S.
Securities Act”) or any U.S. state securities laws, and may not be
offered or sold in the United States or to, or for the account or
benefit of, United States persons absent registration or any applicable
exemption from the registration requirements of the U.S. Securities Act
and applicable U.S. state securities laws. This news release shall not
constitute an offer to sell or the solicitation of an offer to buy
securities in the United States, nor shall there be any sale or issuance
of these securities in any jurisdiction in which such offer,
solicitation, issuance or sale would be unlawful.

This document is not an offer or invitation for the subscription or
purchase of or a recommendation of securities. It does not take into
account the investment objectives, financial situation and particular
needs of any investors. Before making an investment in Capstone or ReD,
an investor or prospective investor should consider whether such an
investment is appropriate to their particular investment needs,
objectives and financial circumstances and consult an investment adviser
if necessary.

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